Industry News

August 17, 2010

Los Angeles Foreclosure Ordinance

The City of Los Angeles now requires a lender to register property with the City Housing Department or MERS within 30 days of the recordation of a Notice of Default. The Foreclosure Registry Program became effective on July 8, 2010. A lender who issues a Notice of Default prior to July 8, 2010, must register the property in foreclosure with Department by August 7, 2010. The charge for registration is $150.00. The penalty for failing to register is $250.00 per day.

Included in the Los Angeles Ordinance 181185 is a requirement that within 10 days of the purchase and/or transfer of a loan and/or deed of trust the new beneficiary/trustee record an assignment of rents, or similar document, that lists the name of the corporation, and/or individual, the mailing address and contact phone number of the new beneficiary and/or trustee responsible for receiving payments associated with the loan and/or deed of trust.